December 15, 2014 -- The thermal management industry is moving toward comprehensive solutions to cool electronics and paving the way for the electronics industry to develop high-performance applications. As a result, the dynamic in this market has not been one where there is a move toward a single technology or product that replaces others. The tendency is for systems designers to look at the entire problem and evaluate multiple options and combinations for a solution.

According to a recently published report from iRAP, Inc.,
“Electronic Thermal Management – Technology, Materials, Devices, New Developments, Industry Structure and Global Markets,” the world market for thermal management products is predicted to grow from about $8.8 billion in 2013 to $15.56 billion by 2018, at an average annual growth rate (CAGR) of 12.1%.

“Thermal management” denotes the array of problem-solving design tools and material technologies that systems manufacturers apply to regulate the unwanted heat caused by the normal functioning of an electronic system. Increasing power densities and decreasing transistor dimensions are hallmarks of modern computer chips. Both trends are increasing the thermal management challenge within the chip and surrounding packaging, as well as accelerating research progress on high conductivity materials.

The trend line of the thermal management industry aligns with the development of technology in the semiconductor, microprocessor and computer industries. For every advance in performance of these systems, there is a corresponding increase in the operating heat generated by the system. It is probably more accurate to state that the development of thermal management as an industry is the result of a synergy of solutions constantly engineered to manage excess heat in today’s electronic systems.

There are four main segments in thermal management technologies – hardware, software, interfaces, and substrates. According to the new iRAP report, the hardware segment maintained its number one position with largest share of the market in 2013. This is followed by substrates, thermal interface materials and the software segment.

The overview of end-user trends shows the largest market in 2013 was for computers, followed by telecommunications, industrial/military industries, medical/office equipment, automotive and consumer products.

The thermal management industry is made up of companies from several industries that supply cooling solutions to manufacturers of electronic systems. The industry itself is structured around the applications that require thermal management. It is made up of component producers, specialty chemical companies, consultants and programmers.